Warren Buffett’s Stock Portfolio and 5 Newest Investments in 2022

In this article, we discuss Warren Buffett’s 5 newest investments in 2022. If you want to see more stocks in this selection, check out Warren Buffett’s Stock Portfolio and 10 Newest Investments in 2022. 

5. Aon plc (NYSE:AON)

Number of Hedge Fund Holders: 49

Berkshire Hathaway’s Stake Value: $1,177,556,000

Aon plc (NYSE:AON) is an Irish professional services firm that provides commercial risk solutions, retirement planning, and health solutions worldwide. Aon plc (NYSE:AON) is one of the newest picks of Warren Buffett, who added the stock to his portfolio in Q1 2021. Berkshire Hathaway, as of Q3 2022, owns nearly 4.4 million shares of Aon plc (NYSE:AON) worth $1.17 billion, representing 0.39% of the total holdings. 

On October 31, Raymond James analyst C. Gregory Peters downgraded Aon plc (NYSE:AON) to Underperform from Market Perform without a price target, citing a market-neutral strategy compared to other names under his coverage. Aon plc (NYSE:AON) has the highest exposure to foreign economies, representing 55% of total revenues, compared to the broker peer average of approximately 40%, the analyst told investors. He added that the group expects soft rates of organic growth through 2023 due to the uncertain economic outlook.

According to Insider Monkey’s Q3 data, 49 hedge funds were long Aon plc (NYSE:AON), with combined stakes worth about $4 billion, compared to 49 funds in the prior quarter worth $4.6 billion. 

Here is what Mawer Investment Management has to say about Aon plc (NYSE:AON) in its Q3 2022 investor letter:

“With the backdrop of a more uncertain economic environment, there were several companies in our portfolios that performed well over the quarter. Businesses we would define as “boring” were some of the stronger performing stocks in the quarter. Holdings such as insurance broker Aon (NYSE:AON) posted steady increases in revenues and operating profits reflecting the stability of their businesses.”

4. Paramount Global (NASDAQ:PARA)

Number of Hedge Fund Holders: 40

Berkshire Hathaway’s Stake Value: $1,736,763,000

Paramount Global (NASDAQ:PARA) is a New York-based media and entertainment company that operates through TV Media, Direct-to-Consumer, and Filmed Entertainment segments. In Q3 2022, Warren Buffett strengthened his hold on Paramount Global (NASDAQ:PARA) by 17%. The billionaire owned 91.2 million shares of the company worth $1.7 billion, representing 0.58% of the total 13F securities. 

On November 4, Deutsche Bank analyst Bryan Kraft maintained a Buy recommendation on Paramount Global (NASDAQ:PARA) but lowered the firm’s price target on the shares to $28 from $32. The soft advertising market and currency tampered with the company’s outlook, the analyst told investors in a research note.

According to Insider Monkey’s data, 40 hedge funds were long Paramount Global (NASDAQ:PARA) at the end of Q3 2022, compared to 42 funds in the prior quarter. John W. Rogers’ Ariel Investments held a prominent stake in the company, comprising 7.14 million shares worth $136 million.

3. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)

Number of Hedge Fund Holders: 87

Berkshire Hathaway’s Stake Value: $4,117,774,000

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) manufactures, tests, and sells integrated circuits and other semiconductor devices in Taiwan, China, Europe, the Middle East, Africa, Japan, the United States, and internationally. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is one of the newest additions in the Berkshire portfolio as of Q3 2022. Warren Buffett purchased more than 60 million shares of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), worth $4.1 billion and representing 1.39% of the total 13F securities.

On November 18, Erste Group analyst Hans Engel upgraded Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) to Buy from Hold, noting that Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)’s first fab in the United States contributes positively to the worldwide diversification of its production facilities.

According to Insider Monkey’s data, 87 hedge funds were bullish on Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) at the end of Q3 2022, up from 72 funds in the preceding quarter. Ken Fisher’s Fisher Asset Management held a significant position in the company, consisting of more than 25 million shares worth $1.72 billion. 

Baron Funds made the following comment about Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in its Q3 2022 investor letter:

“Semiconductor giant Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) detracted from performance due to the global macroeconomic slowdown and softening demand for consumer electronics. We retain conviction that Taiwan Semi’s technological leadership, pricing power, and exposure to secular growth markets, including high-performance computing, automotive, and IoT, will allow the company to deliver strong revenue growth over the next several years.”

2. Occidental Petroleum Corporation (NYSE:OXY)

Number of Hedge Fund Holders: 74

Berkshire Hathaway’s Stake Value: $11,942,909,000

Occidental Petroleum Corporation (NYSE:OXY) is a Texas-based company engaged in the acquisition, exploration, and development of oil and gas properties in the United States, the Middle East, Africa, and Latin America. Occidental Petroleum Corporation (NYSE:OXY) is one of the newest investments of Warren Buffett in 2022. In Q3 2022, the billionaire boosted his Occidental Petroleum Corporation (NYSE:OXY) stake by 23%, holding 194.35 million shares worth close to $12 billion. 

On November 2, Occidental Petroleum Corporation (NYSE:OXY) declared a quarterly dividend of $0.13 per share, in line with previous. The dividend is payable on January 17, 2023 to shareholders of record on December 12, 2022. 

Citi analyst Scott Gruber on November 17 raised the price target on Occidental Petroleum Corporation (NYSE:OXY) to $75 from $67 and maintained a Neutral rating on the shares. Occidental Petroleum Corporation (NYSE:OXY)’s 2022 performance “has been outstanding, spurred by plentiful debt-to-equity conversion in a high oil price environment,” the analyst wrote in a research note. However, he forecasts a 6% cash return yield to common in 2023, at the low end of the peer range.

Among the hedge funds tracked by Insider Monkey, 74 funds reported owning stakes worth $15.6 billion in Occidental Petroleum Corporation (NYSE:OXY) at the end of Q3 2022, compared to 66 funds in the prior quarter worth $13.75 billion. Rajiv Jain’s GQG Partners is a prominent stakeholder of the company, with 15.2 million shares valued at $935 million. 

Here is what Smead Value Fund has to say about Occidental Petroleum Corporation in its Q3 2022 investor letter:

“Our top-performing stocks in the quarter include Occidental Petroleum (NYSE:OXY). Oil and gas have been the best game in the stock market town this year and it was a pleasant surprise to see home builders pick up even with dour news on interest rates and the economy. For the first three quarters of the year, we should change the name of our fund to the Jed Clampett Fund. Occidental Petroleum (NYSE:OXY), was one of the standouts. Up through the bear market came a “bubblin’ crude!”

1. Chevron Corporation (NYSE:CVX)

Number of Hedge Fund Holders: 66

Berkshire Hathaway’s Stake Value: $23,757,173,000

Warren Buffett’s Berkshire Hathaway lifted its Chevron Corporation (NYSE:CVX) stake by 3% in the third quarter of 2022, holding 165.35 million shares worth $23.75 billion, representing 8.02% of the total portfolio. On November 17, Chevron Corporation (NYSE:CVX) agreed to acquire full ownership of Beyond6 and its network of 55 compressed natural gas stations across the United States from Mercuria Energy Trading. 

On November 11, Piper Sandler analyst Ryan Todd raised the price target on Chevron Corporation (NYSE:CVX) to $206 from $186 and kept an Overweight rating on the shares. The Q3 results were incrementally bullish for the integrated oil 2023 macro outlook, the analyst told investors in a research note.

According to Insider Monkey’s Q3 data, 66 hedge funds were long Chevron Corporation (NYSE:CVX), compared to 59 funds in the preceding quarter. Ken Fisher’s Fisher Asset Management is one of the leading stakeholders of the company, with 6.8 million shares worth about $976 million.

Diamond Hill Capital mentioned Chevron Corporation (NYSE:CVX) in its Q1 2022 investor letter. Here is what the firm had to say:

“Other top contributors in Q1 included multinational energy company Chevron Corp. (NYSE:CVX). The company benefited from increased energy demand as COVID-related economic restrictions eased in tandem with concerns regarding supply interruptions related to Russia’s invasion of Ukraine.”

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